In the News: The Window to Shape Social Media Settlement Dollars Is Narrow

Fund IRL partner, Children’s Funding Project Founder and CEO Elizabeth Gaines, was recently featured in The 74 discussing how states can ensure potential social media settlements support young people in meaningful ways.

This moment is bigger than accountability alone. It’s an opportunity to invest in the programs, relationships, and community spaces that help young people thrive.

— Elizabeth Gaines

Read why the window of time is narrow to get this right. Our growing coalition of youth advocates, philanthropy leaders, and community organizations are uniting to ensure future payout dollars strengthen real-world youth opportunities.



Read the full article: Child Advocate Envisions ‘Game-Changing’ Windfall From Social Media Settlements

Replay: Turn Social Media Accountability into Youth Opportunity (Webinar)

Kentucky Attorney General Russell Coleman joined Children’s Funding Project Founder and CEO Elizabeth Gaines during a recent Fund IRL webinar to discuss how advocates can work alongside attorneys general to help ensure any future payouts support young people.

Calling social media accountability “a true bipartisan issue,” Attorney General Coleman emphasized the importance of early collaboration between advocates and attorney general offices as states begin considering how potential payouts could be used.

Attorneys general play a critical role in shaping not only litigation outcomes, but also the conversations about how any future funds can strengthen youth well-being through real-life supports and opportunities.

The webinar also featured perspectives from local leaders, young people, and community advocates, including Jasmin Garcia of Let’s Grow Clayton, student author Hansa Giridhar, and Ben Small of LaunchNW, who spoke about the importance of investing in real-life opportunities and supports that help young people thrive.

Access the slides to explore key takeaways and discussion themes.

As an advocate, reach out to your state attorney general to discuss how social media litigation creates a rare opportunity to invest in youth development at scale. Explore our promotional toolkit for key messages, social media assets, and more to support your advocacy.

Featured Partner Resource

Brand new data from Fund IRL partner Afterschool Alliance confirms why summer programs are part of the solution to youth well-being and yet are massively under-funded to meet demand. 

Growing Momentum: Latest Developments with the Social Media Lawsuits 

Here’s what we’re watching with the current social media litigation and why these cases matter:

New Mexico enters next phase of Meta case

• New Mexico entered Phase 2 of its groundbreaking case against Meta and is seeking roughly $3.7 billion to fund long-term investments in youth mental health, school-based supports, digital literacy prevention programs, family education, and statewide infrastructure. 

• Why it matters: This phase is especially significant as the court hears a public nuisance claim against a social media company—a legal approach that’s been used in cases that involve opioids, tobacco, or environmental harms. Phase 2 is a bench trial in which Judge Bryan Biedscheid will decide whether social media platforms are creating a public nuisance in New Mexico and whether Meta can be ordered to finance sweeping remedies and operational changes. A ruling that recognizes population-level social media-related harms could influence lawsuits nationwide.

First Roblox settlements reveal different state approaches

• Nevada plans to direct $10 million in Roblox settlement funds toward IRL programs that reconnect young people to community and mentorship. Congratulations to the Nevada Alliance of Boys & Girls Clubs in working with their attorney general on this win! West Virginia and Alabama’s subsequent settlements with Roblox prioritize law enforcement, school safety, and online protections but do not explicitly name nondigital, community-based programs as a solution.

• Why it matters: Advocates can encourage attorneys general to look at Nevada’s model as an early blueprint for how states respond to youth digital harms with nondigital alternatives. There are at least seven states now publicly tied to Roblox investigations or lawsuits (Nevada, West Virginia, Alabama, Texas, Nebraska, Florida, and Louisiana), so, assuming Roblox is engaging in additional settlement conversations across the country, the time is now to uplift youth programs as the antidote to digital harms. Several Fund IRL state coalition members have engaged their attorneys general in conversations about Roblox via sign-on letters and other strategies.

Massachusetts court allows lawsuits to continue

• A major Massachusetts Supreme Judicial Court ruling signaled that lawsuits focused on social media platform design features may continue moving forward, despite tech companies using federal law Section 230 of the 1996 Communications Decency Act to shield against any liability tied to third party content.

• Why it matters: For years, Section 230 has helped protect social media companies from lawsuits by shielding them from responsibility for content posted by users. But in the first ruling of its kind by a state’s highest court, the Massachusetts Supreme Judicial Court said companies may still be held responsible for harmful platform design features like addictive algorithms, autoplay, and infinite scroll. While this ruling isn’t legally binding for other states, it opens the door to broader tech accountability nationwide. 

What We’re Watching

First school district bellwether trial with Meta begins this summer—YouTube, Snap and TikTok settled

• The Breathitt County Board of Education v. Meta trial beginning this summer is the first federal bellwether trial brought by a school district against major social media companies over claims that their platforms fueled a youth mental health crisis and imposed major costs on schools. Kentucky’s Breathitt County School District was chosen as one of six school district bellwether cases out of the more than 2,400 cases consolidated in federal court. After YouTube, Snap, and TikTok reached undisclosed settlements with the Breathitt County Board of Education, Meta Platforms is still scheduled to face trial beginning June 15 in federal court in Oakland, CA. 

• Why it matters: Bellwether trials are critical because they serve as test cases that can shape settlement negotiations, legal strategy, and the trajectory of the broader litigation.The outcome, including the early settlements with three of the four social media companies, will likely influence future school district and state attorney general cases.

First state attorneys general trial begins in August

• A coalition of state attorneys general is preparing for the first attorney general-led jury trial against Meta, Snap, TikTok, and Google, to begin in August 2026. Jury selection begins August 12, with opening statements and evidence starting August 17 in the Northern District of California.

• Why it matters: The trial will be closely watched because it is expected to test whether states can hold technology companies accountable under consumer protection and public harm theories, potentially paving the way for large-scale settlements, platform reforms, or financial penalties. Fund IRL coalition members can build relationships with their attorneys general now in anticipation of this trial.

State attorney general elections are approaching

• This year, more than 30 state attorneys general are up for election during the primaries between Memorial Day and Labor Day.

• Why this matters: This is an important moment to engage with candidates on social media accountability and youth-centered solutions, as tech companies tend to spend record high dollars on state election campaigns. Meta alone is investing $65 million to support tech-friendly candidates.

Interested in Fund IRL advocacy opportunities in your state? Complete our state advocacy survey to connect with us and stay informed about ways to engage.

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Fund IRL is an initiative of Children’s Funding Project.